The Rate Excuse: Why Waiting for Lower Rates Can Backfire

Every Fourth of July, some people show up to the beach late, trying to time it perfectly for the grand finale. They sit in traffic, fight for parking, and miss half the show.

Trying to time it perfectly usually means missing the best part.

Many San Diego buyers and sellers are doing the same thing with interest rates.

Buyers are waiting for rates to drop. Sellers are waiting for buyers to come back. But when rates fall, everyone who was waiting jumps back in at the same time. More buyers means more competition, and more competition means higher prices.

Here is why the Rate Excuse can backfire:

Buy the Home, Not the Rate. You can refinance a loan later. You cannot go back and buy the home you missed at last year's price.

Lower Rates Bring More Buyers. Sellers who wait for rates to drop may get more buyers, but they will also face more competing listings from everyone else who waited.

Run Payment Scenarios Now. Ask a lender what your payment looks like today and what it could look like after a refinance. Real numbers beat headlines.

The market is fair, but it is not forgiving. The people who move when their life is ready usually do better than the people who wait for perfect.

Happy Fourth of July to all of you celebrating here in San Diego.

Next week, I am going to share the "Open House Truth" and what really happens when the doors open.